How Pangea automated its fraud review process to make online international money transfers fast, fair, and accessible to everyone

0

chargeback liability

99.2%

approval rate

98%

first time customers approved

Meet Pangea

Pangea launched operations in late 2014 with the goal of establishing a cost-effective and convenient cross-border online remittance service. At the time, immigrants and migrant workers lacked access to a financially transparent service that would allow them to safely send hard-earned money to their families overseas. Today, Pangea is a successful, socially-minded business serving thousands of customers daily. Not only do Pangea clients enjoy a flat transfer fee and instant online access to exchange rates, but they can also safely move money across borders in real time. There is no doubt Pangea has touched the lives of those genuinely in need – securing consumers’ trust and improving their financial freedom – while experiencing 300% growth YoY.

“We needed a partner who doesn’t sleep, a vendor like Riskified who could review transactions in real-time - 24/7 - without jeopardizing the unique customer experience we value so highly.”

Natalia MacWilliam

VP Risk & Compliance

The Challenge

Within the first few months of operations, Pangea had already incurred considerable fraud-related chargebacks. As an emerging business, turning away good customers due to fear-of-fraud would severely impact their ability to acquire new customers. Given their intention to rapidly expand services, Pangea realized they’d need to find a reliable fraud solution expert to mitigate the impact of fraud-related losses on their bottom line and on their ability to achieve key business goals.

“The pricing structure aligns our objectives so Riskified only gains when they approve transactions for us. They have the incentive to minimize risk, while letting in as many good customers as possible.”

Natalia MacWilliam

VP Risk & Compliance

Choosing a Solution

When searching for a solution, Pangea initially considered a number of vendors offering scoring systems. But signing up to one of these meant an internal fraud management team would still need to manually review and decide on the final outcome of every order. Riskified’s capacity to provide ‘approve’ or ‘decline’ decisions in real time, was therefore appealing. As was their extensive experience managing fraud in mobile sales – 95% of Pangea’s order volume is sent from mobile devices. However, it was Riskified’s incentivised pricing structure, combined with a 100% chargeback guarantee, that really tipped the scales.

The Results

Enhanced customer experience

For Pangea, partnering with Riskified has led to high approval rates across the board. Pangea is able to quickly validate users without relying on high-friction verification methods. Thanks to the smooth onboarding process and positive online experience, 65% of first-time customers choose to transfer funds via Pangea again.

98%

First time customers approved

Fraud related losses eliminated

Pangea has been able to confidently grow operations with the peace of mind that no revenue is being lost as a result of false declines and that Riskified will cover any fraud-related chargebacks. Working with Riskified has also helped Pangea uncover criminal activity such as money laundering and terror funding.

0%

Fraud liability

“Riskified pretty much eliminates false declines. And their chargeback guarantee has let us expand aggressively without having to worry. They’re not only our risk management system, they’re a true partner.”

Natalia MacWilliam

VP Risk & Compliance

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